China’s Zhejiang Geely Holding Group plans to simplify its corporate structure by shutting, merging or reorganising some entities, Bloomberg reported, citing a transcript posted by the company.

The move is aimed at improving governance and concentrating resources around Geely Automobile Holdings, the group’s Hong Kong-listed arm.

Speaking at an industry forum, chairman Li Shufu said Geely would streamline ties between operating entities and remove overlap as part of what he described as a “One Geely” strategy, according to Bloomberg.

Li did not say which units would be affected.

Bloomberg reported that Li said Geely “will systematically shut down, merge, or restructure redundant entities” under Geely Auto Group Co.

At the same time, the group will focus resources on Geely Automobile Holdings as its core platform, the report said.

Li also reiterated the carmaker’s emphasis on long-term development, safety and international partnerships, including existing collaborations with Volvo Car and Renault.

He also stressed the need for strict engineering standards in vehicle development.

“When it comes to automotive products, which directly impact human lives, it is essential not only to know what they are but also to understand why they are designed that way,” he said.

He added that the company must avoid shortcuts in car manufacturing.

Bloomberg said Geely overtook Honda Motor Co. and Nissan Motor Co. in total vehicle sales last year.

The company has set a goal of becoming one of the world’s top five carmakers by the end of the decade.

In March, Geely Automobile reported marginal profit growth for 2025 despite a sharp rise in revenue, as pricing pressure and higher costs weighed on earnings.

Net profit increased 0.2% year-on-year (YoY) to 16.85bn yuan ($2.44bn) for the year ended 31 December 2025. The company attributed the subdued growth to “fierce price competition in the industry” and elevated distribution and research expenses.